Taxation: documentary transfer tax.

Existing law authorizes counties and cities and counties to impose a documentary transfer tax at a specified rate upon deeds, instruments, or writings by which any lands, tenements, or other realty sold are transferred. This bill would provide that "realty sold" for purposes of the imposition of a documentary transfer tax includes, but is not limited to, any acquisition or transfer of ownership interests in a legal entity that would constitute a change in ownership of that legal entity's real property, as specified. The bill would also require a city, county, or city and county that imposes a documentary transfer tax to submit information to the Board of Equalization annually regarding the imposition of the documentary transfer tax and require the board to compile the information into a publicly available report. Existing law prohibits the imposition of a documentary transfer tax on the making or delivery of a conveyance to make effective an order of the Securities and Exchange Commission, if specified requirements are met. The bill would eliminate that prohibition.